What's in this episode:

• TOP BIT: LVMH Boss Shops for Chinese Brands
  • Bernard Arnault purchased items from local Chinese brands during his latest Shanghai trip, a symbolic shift.
  • The Chinese luxury market is slowing (down 20%), prompting consumers to turn to homegrown labels with sharper pricing and stronger local aesthetics.
  • Domestic brands like Songmont, Laopu Gold (1,000%+ online sales surge), and Mao Geping are growing at double and triple-digit rates, challenging Western houses.
• NUMBER OF THE DAY: 313.3 Billion RMB (~$42 Billion USD)
  • The size of China's coffee market in 2024.
  • Consumption has jumped from 6 to 22.24 cups per person in seven years (+15% avg. growth).
  • The market is driven by cheap, convenient brews from Luckin and Cotti, pressuring high-end specialty coffee.
• MARKET BIT: Manner Coffee Starts Billion IPO Run in Hong Kong
  • Shanghai's Manner Coffee, backed by ByteDance and Temasek, is planning a Hong Kong IPO at up to $3 billion USD valuation.
  • Manner serves as ByteDance's "offline behavior lab," using digital tracking for optimization.
  • The IPO reflects Hong Kong's revitalized consumer-focused listing market.
• HEAD OF THE DAY: Kwon Young-soo (권영수)
  • Former LG veteran who guided four affiliates as CEO, known for his "Attitude over intelligence" management style.
  • He emphasizes that CEOs must take risks and execute the vision set by owners, and that investment in AI cannot be delayed.
• Partner Highlights:
  • China pivots its foreign lending to US tech (semiconductors, AI) with over $200 billion USD flowing into US projects.
  • Apple hit 25% smartphone market share in China in October, a temporary high before the Huawei Mate 80 launch.
  • Singapore's transport authority confirmed its Chinese Yutong e-buses lack remote control functions, addressing cybersecurity concerns.
• Country Reads: Strong reforms boost M&A activity; Singapore leads Southeast Asian IPOs; Nvidia's HBM demand hikes chip prices.

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